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s a local real estate expert and member of the Master Brokers Forum, I'm often asked about the current state of the market. Rather than providing a quick answer, I'd like to give you a deeper dive into what's happening.

    Closed sales in 2024 hit their lowest level in 30 years, and with an additional 70 million Americans since 1995, it's clear that the market is slow. However, this doesn't mean it's bad – it simply means buyers are driving the market, and sellers need to adapt.

    In Pinecrest and surrounding areas, inventory levels vary greatly depending on price. Low-priced homes (under $650,000) have less available inventory than last year, while mid-priced homes ($650,000-$999,000) are at similar levels. High-end homes ($1M+) have a 35% increase in active listings.

    Home insurance rates and availability are also impacting sales. Every year, it becomes more expensive to insure a home, and many buyers are finding that insurance companies are being picky about which homes they'll cover. Recent legislation has allowed new insurers into Florida, but obtaining insurance remains a challenge for the market.

    Another significant factor is the Interest Rate Lock-In Syndrome, where homeowners who secured COVID-era mortgages at 2.5-3% are hesitant to move due to skyrocketing mortgage payments. This is making them "prisoners" in their homes.

    I also believe there's another psychological factor contributing to the slow market: buyers now see hiring a Realtor as no longer "free." With commissions paid upfront and required documentation, some buyers are hesitant or trying to navigate the process without professional guidance – which can lead to mistakes and missed deadlines.

    The Nation Association of Realtors' settlement has shaken the goal of creating fair, balanced, and professionally-guided transactions. As a result, we're seeing buyer hesitation, confusion, and fear. I urge you to use a real estate agent for your success in this market.

    If you've made a move or changed your deed this year, now is the time to file your Homestead Exemption paperwork to save on future real estate taxes. Contact me for help!

    As of February 12th, there were 159 properties for sale in Pinecrest, with 15 homes pending and 13.25 months of inventory (a buyer's market). If you're ready to move, contact me for expert guidance and realistic expectations.

    You can view past episodes of my The MiamiHal Real Estate Show at miamihal.com/the-miamihal-real-estate-show to stay up-to-date on the latest real estate news.